Three Ways To Create Lasting Change In Your Financial Situation

Recently, a friend reached out to me because she was overwhelmed. She had just gotten a new job she loved and the fresh start at the new place caused her to reflect on where she was financially.

She thought she should have made “better” decisions with her money, should have more saved and overall should just be further along financially. She also felt like she was on a treadmill. She wasn’t really getting anywhere in her financial life. She wanted some tips that could get her out of her rut and help her stick with her goals.

I see this a lot. People feel like they’re treading water financially, and they don’t know how to break the cycle. It comes up, particularly, around the New Year, a time when many of us are looking for a fresh start.

As we prepare for the holidays and 2018, I want to explore some practical things that you can do to help shift your mindset around your money and make your latest fresh start a lasting one.

Figure out what you value

I had my friend try an exercise that I give to clients to help change the lens they use when it comes to making decisions. She was a bit surprised when the exercise helped her define her values. I do this with my clients because I know that if I can help them uncover what matters most to them, what their core values are and what aspirations they have, I can help them follow through on the goals they make.

In his extremely popular TedTalk, Motivational Speaker Simon Sinek explains why some people achieve things that defy all assumptions. As a matter of biology, he says, all human behavior comes from our limbic brain, the part that’s responsible for feelings and decision-making. The great leaders of our time — Martin Luther King Jr., The Wright Brothers and Steve Jobs — connect with that limbic system to spur action.

You can do this, too. If you tap into your inner values and motivation, you are much more likely to take action that corresponds with that emotion.

To start, think about what you value. Start with a long list — as many as 100 or 150 items you care about — and gradually narrow it down to five to seven words that represent your core truths. You can do this by yourself, or use a values exercises online. There are even value cards available to help you with the process. The key is getting to know what you truly value, without all of the voices telling you what you should do. You then use those values as the lens for future decisions.

As you complete the exercise, ask yourself a few questions. Any surprises? Do you feel like you’re aligned with your values? Why did you pick one word over another when they were similar?